New Mahila Samman Saving Scheme Eligibility, How to Apply, Calculation, Interest Rate, Tax Benefits

Mahila Samman Saving Scheme, 2023, offers an interest rate of 7.5% per annum at post offices starting from 01/04/2023.

Union Finance Minister  announced a new small savings scheme for women and girls in  Budget  2023-24, called the Mahila Samman Saving Scheme. The announcement was made in the context of the Azadi Ka Amrit Mahotsav.

The Mahila Samman Savings scheme is a single-window scheme available for two years from April 2023 to March 2025. It provides the option for women or girls to deposit a maximum of up to 2 lakh rupees in their name for a fixed period of two years with fixed interest rate.

Special Features of Mahila Samman Savings Scheme 2023

Government-Supported Scheme The Mahila Samman Savings scheme is a government-supported small savings plan. Therefore, there’s no credit risk associated with it.

Mahila Samman Saving Scheme Eligibility

The Mahila Samman Savings Scheme can only be opened in the name of a girl child or a woman. A woman or guardian of a minor girl can initiate the Mahila Samman Savings Certificate scheme.

Minimum Deposit Limit

Under the Mahila Samman Savings Scheme, the minimum deposit amount is 1,000 rupees, which is a multiple of one hundred. Each account holder can deposit a maximum of 2 lakh rupees in their Mahila Samman Savings Scheme accounts. After a minimum gap of three months from opening the current account or account holder, another Mahila Samman Savings Scheme account can be opened.

Also Read: New Sukanya Samriddhi Yojana Intrest Rate 2023,Tax Benefits,Calculator, and Other Details

Maturity

The maturity period for Mahila Samman Savings Scheme accounts is two years. Therefore, two years from the date of account opening, the account holder will receive the maturity amount

Partial Withdrawal

Under the “Mahila Samman Savings Scheme” partial withdrawals are allowed after one year from the date of opening the account, up to 40% of the remaining balance.

Mahila Samman Saving Scheme Tax Benefit

Under this scheme, there is no Tax Deducted at Source (TDS) on the interest earned. However, it has been clarified that TDS will be applicable to the Mahila Samman Savings Scheme. As per Section 194EE of the Income Tax Act, TDS is only applicable when the interest earned from the postal savings scheme in a financial year exceeds Rs. 40,000 or Rs. 50,000 (for senior citizens). Since the maximum interest amount on investments for up to two years under this scheme does not exceed Rs. 40,000, TDS is not deducted on the interest earned under the Mahila Samman Savings Scheme.

Interest Rate

Mahila Samman Savings Scheme The fixed interest rate for this scheme is 7.5% per annum, which is considerably higher than most bank fixed deposits (FDs) and other popular short-term savings schemes. Interest is compounded quarterly and paid at the time of account closure

Early Closure

Mahila Samman Saving Scheme account can be closed prematurely under the following circumstances, before two years:

1. Without specifying any reason, six months after opening the account. In this case, you will receive an interest rate of 5.5%.
2. In case of the account holder’s demise, especially in cases of severe illness or upon presenting relevant documents, the interest will be paid on the original deposit amount.

How to Open a Mahila Samman Saving Scheme: Women and guardians of girls can open a Mahila Samman Saving Scheme account by following these steps:

1. Click on the “Application for Purchase of Certificate” from the official website of India Post. You can also obtain the form from your nearest post office branch.
2. Fill in the postal address of the post office under the “To the Postmaster” section.
3. Enter your name at the designated space and mention the account as “Mahila Samman Bachat Pramanpatra.”
4. Complete the account type, payment, and personal details sections.
5. Fill in the declaration and nomination details.
6. Submit the form with the necessary documents.
7. Deposit the required amount in cash or by check at the post office.
8. Receive the certificate, which serves as proof of your investment in the Mahila Samman Bachat Pramanpatra Yojana

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